GREY:MBLKF - Post by User
Comment by
nerzaaon Mar 02, 2011 9:00am
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Post# 18217721
RE: Could LEGO takeover MB?
RE: Could LEGO takeover MB?
this is what I daydream about every single day for the past 6 months.
it does make sense for a bigger player to take over mega since they all want to expand/increase their market share in the construction category, especially the toddlers.
however, i imagine a deal would be to hard to reach.
1. they have missed the prime time to buy which is when fairfax chipped it; trying to explain to shareholders to buy now but not before is going to make executives look bad.
2. now mega's toys business is back, economy is ready to start recover, former Crayola executive Tom Pritchard running stationary; it's very hard to put a forecast on the stationary. buyers will not want to overpay; but fairfax and others will not want to undersale something with huge potential.
that's why eventhough i dream about a takeover everyday; i see this deal being hard to reach; but still possible if someone's got cash no where to put (ex: lego) and believe on the potential of the stationary business.
let's all hope.